2Gb of RAM is really needed though on the iPad line. The iPad 4 is actually better off as it uses 32bit rather than 64 because 64bit has a 20-30% increase in RAM footprint.
It's only better in the sense of RAM usage. Or if you prefer the added weight for strength training or use your iPad as a doorstop when not using it for its intended purpose.
Whether the iPad Air (or iPad rMini) are going to work for people comes down to their usage and their willingness to deal with the design/engineering decisions Apple chose for this device. It's faster in nearly every benchmark done as compared to the iPad 4, but some of that speed may be lost when waiting for webpages and apps to reload.
For my usage, the Air is a very intriguing device. I'm still a regular user of an iPad 3 (just didn't see the iPad 4 as a necessary upgrade), and the Air represents a much faster device in a smaller package with an equally good (maybe slightly better calibrated/brighter) screen - and that Retina screen is my favorite part of the iPad. It also lets me use a single cable type (Lightning) with all my iOS devices. But, even when I'm using an iPad for productivity purposes, I'm a one app at a time kind of person. I don't even liking having more than 6 or 7 tabs open at once (at most) on my browser - too distracting. When I want to use lots of apps/windows at the same time, I switch to my computer because that's how I work. 1 GB RAM isn't as limiting to me as it would be for someone who works differently than I do.
Next year's iPad will probably move up in RAM class. Or maybe not.